German Chamber of Commerce and Industry Chief Executive Helena Melnikov comments on the preliminary GDP figures for the second quarter of 2025.
30.07.2025 - After a surprisingly strong start to the year, the German economy faces another setback. Structural and geopolitical challenges persist. Many companies suffer from the burden of US trade policies: Despite the recent tariff dispute resolution, experiences so far indicate that the conditions for international business remain unpredictable. Added to this are the familiar homemade problems. Bureaucracy, high location costs, and lengthy approval processes are still noticeable growth inhibitors. It is therefore correct that the new federal government is rapidly advancing with its immediate investment program. Now it is necessary for bureaucracy reduction to be consistently pushed forward and for quick and tangible relief measures to follow. After the summer recess, the announced legislative procedures should be swiftly initiated.
The federal states also bear responsibility. The Bundesrat should actively support necessary initiatives. Especially in areas such as planning acceleration, investment incentives, and bureaucracy reduction, a joint effort from all governmental levels is needed.
What matters now is a clear economic policy line: reliability, speed, and reform ambition. If politics and administration act decisively on tax reliefs, securing the future of social contributions, approval processes, digitalization of administration, and much more, confidence in the location can return, enabling sustainable economic growth. Proposals from the business community are already on the table; some draft laws are also ready. Concrete implementation is now key.
- Relevant in topic:
- Wirtschafts- und Finanzpolitik
- Key areas:
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- Wachstum
- Konjunktur
Released 30.07.2025
Modified 16.02.2026
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